Atam Valves Clears API Q1 Audit, Eyes Global Expansion with Larger Valve Production

Atam Valves Limited has announced a significant milestone in its journey towards global manufacturing excellence. The company has successfully completed the first audit stage (Q1 Certification) conducted by the American Petroleum Institute (API), a globally recognized benchmark for quality in the oil, gas, and process industries.

Key Developments

API Certification Progress

Successfully cleared the Q1 Certification audit
Addressing final procedural observations
Expected conclusion within 6-8 weeks
Anticipates formal API certification by February 2026

Business Expansion Plans

Plans to manufacture valves up to 72 inches in diameter
Current capacity limited to 12-inch valves
Aims to serve more complex, high-pressure sectors

Impact on Revenue

The company expects to see potential benefits from this certification:

Possibility of unlocking new revenue streams from API-related business
Meaningful traction anticipated by the end of FY27
May coincide with capacity ramp-up and conversion of trials to orders

Strategic Implications

The API certification represents a critical step for Atam Valves in potentially strengthening its position in the global market. By expanding its manufacturing capabilities to include larger valves, the company aims to position itself to capture high-value opportunities in sectors such as oil & gas, petrochemicals, and large-scale infrastructure projects.

Investor Considerations

For investors and market watchers, this news signals potential for future growth and market expansion for Atam Valves. The API certification, once finalized, could open doors to new markets and customers, particularly in industries that require high-quality, certified valve products.

As the company progresses through the final stages of certification and begins its planned expansion, investors may want to monitor:

The official confirmation of API certification
Progress on expanding manufacturing capabilities
New contracts or orders resulting from the certification
Financial impact in FY27 and beyond

This development positions Atam Valves to potentially enhance its competitive edge in the global valve manufacturing market, subject to successful completion of the certification process and execution of its expansion plans.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.84%	-2.37%	-19.46%	-18.56%	-44.10%	-62.50%

Atam Valves Limited , a manufacturer of industrial valves and fittings, has released its unaudited financial results for the first quarter, showing a mixed performance with year-on-year growth in revenue and profit, but a decline compared to the previous quarter.

Revenue and Profitability

The company reported revenue from operations of Rs 1,237.13 lakhs for Q1, representing a 7.7% increase from Rs 1,148.48 lakhs in the same quarter of the previous year. However, this figure shows a 15.9% decrease from the previous quarter's revenue of Rs 1,470.88 lakhs.

Net profit after tax stood at Rs 123.93 lakhs, marking a significant 33.1% increase from Rs 93.08 lakhs in the corresponding quarter of the previous year. However, it decreased by 41.8% compared to the previous quarter's profit of Rs 213.05 lakhs.

Key Financial Metrics

Particulars (in lakhs)	Q1	Q4	Q1 PY	FY
Revenue from Operations	1,237.13	1,470.88	1,148.48	6,050.01
Total Income	1,237.55	1,473.35	1,149.60	6,057.10
Net Profit Before Tax	165.63	287.44	124.44	851.80
Net Profit After Tax	123.93	213.05	93.08	629.88
Total Comprehensive Income	125.48	214.66	82.87	628.51

The company's earnings per share (EPS) for the quarter stood at Rs 1.08, compared to Rs 0.81 in the same quarter of the previous year and Rs 1.86 in the preceding quarter.

Corporate Governance

The financial results were reviewed and recommended by the Audit Committee and subsequently approved by the Board of Directors at their respective meetings held on August 11. In compliance with regulatory requirements, the results were published in the newspapers 'Nawan Zamana' (Punjabi) and 'Financial Express' (English) on August 13.

Investors and stakeholders can access the detailed unaudited financial results on the company's website ( https://www.atamvalves.in/ ) as well as on the stock exchange websites.

Atam Valves Limited continues to navigate the dynamic industrial valve market, balancing growth and profitability. The company's performance in the coming quarters will be closely watched by investors to gauge its ability to maintain growth momentum and manage operational efficiencies in a competitive landscape.